The National Company Law Appellate Tribunal (NCLAT) New Delhi bench of Justice Ashok Bhushan (Judicial Member), Mr. Arun Baroka (Technical Member) and Mr. Barun Mitra (Technical Member) has held that an order terminating the lease cannot be passed during the moratorium period under Section 14 of the Insolvency and Bankruptcy Code, 2016 (Code), particularly when leasehold rights are assets of the corporate debtor which were in its possession.
Brief Facts:
The Corporate Insolvency Resolution Process (CIRP) against Corporate Debtor (CD) commenced on an application filed under Section 7 of the Code by an order dated 02.05.2019.
The Gujarat Industrial Development Corporation (“GIDC”) had granted 99 years lease to the…
